Denmark is one of the easiest countries to set up your own business. The procedures are relatively clear-cut, business services are accessible online, and most of the registration can be done in English. However, non-EU/EEA and Swiss residents will have some additional requirements which must be fulfilled.
Registering a business in Denmark requires a work permit. Citizens from EU/EEA areas and Switzerland do not need a work or residence permit, but an EU residence document from the State Administration must be produced.
Citizens from countries outside of the EU, EEA, and Switzerland must either have a work or residence permit or apply for one at the Danish Agency for Labour Retention and International Recruitment. Read more about eligibility requirements to start a business in Denmark on the official visa application portal.
Before jumping right in to register your business, take some time to understand the process of business development in Denmark. One place to start your research if you are in one of the bigger cities is checking out the local Business House. Business House Copenhagen offers free English business courses in entrepreneurship and doing business in Denmark.
After attending business courses, entrepreneurs and prospective business owners can go on to receive individual guidance for more in-depth advice from professional advisors.
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Types of businesses in Denmark
Any new company must be registered with the Danish Commerce and Companies Agency at least eight days before starting operations.
There are different types of businesses:
Enkelmandsvirksomhed: This type of business is a sole proprietorship in which an individual sets up their own company and has full liability.
Iværksætterselskab: Setting up an entrepreneurial limited company is a limited company alternative to an ApS. This is a good option for private companies that are smaller in size.
Aktieselskab: This is the private limited company option for larger companies with more equity. The minimum share capital amount is DKK 500,000.
Anpartsselskab (ApS): A private limited company set up by at least one shareholder. Shareholders are liable only for the amount of their own contribution. The minimum share capital amount is DKK 40,000.
Kommanditselskab (K/S): A limited partnership where general partners (often acting as ‘anpartsselskab') typically run the company, and limited partners act as investors.
Interessentskab (I/S): a partnership with more than one owner. Owners are equally liable for the company's debt.
Once you have determined what type of company you would like to register, there are some other questions to consider:
Do you have the NemID required to start a business? A NemID can only be obtained with a Danish CPR number, your identity document (passport) and the necessary work/residence permit.
Do you have a local bank account? All companies in Denmark must deposit the minimum capital requirement for the chosen company type in a local bank account. Find more information about local bank accounts in our guide to banking in Denmark.
Have you read the checklist for starting a business? This checklist is provided by the Danish Tax Agency and provides lots of relevant information.
Registration of a new business must be done with the Danish Business Authority via the Virk website. After filling out the applicable information, your application will be sent in for approval. A company identification number (CVR) will be mailed to you if your application is successful.
Important:
Most of the Virk website is in Danish only. It's a good idea to have a friend or native Danish speaker nearby to help translate the application forms.
We do our best to provide accurate and up to date information. However, if you have noticed any inaccuracies in this article, please let us know in the comments section below.
A journalist, holder of the DALF C1 and C2 and a diploma from the University of Mauritius, I have nearly twenty years of writing experience. After six years in the Mauritian press, I joined Expat.com, where I have been working for over a decade, including five years as editorial assistant, and now as editorial manager.
